DeFi wallet and browser extension MetaMask reportedly forged a new strategic alliance with four top-tier crypto custodians: Gnosis Safe, Hex Trust, GK8 and Parfin.

Specifically, MetaMask Institutional (MMI) – the institutional branch of well-known Ethereum wallet MetaMask – reportedly revealed that the new integration will offer decentralized autonomous organizations (DAOs) key management tools, which support DeFi activities participation. 

DAOs reportedly function as organizations under the control of computer code and have no top-down authority, and have been gathering an increasing level of popularity as an instrument for fundraising, as well as an administration tool for cryptocurrency initiatives.

Per the announcement, MMI will reportedly equip institutions with access to DeFi and Web3, while satisfying the compliance requirements from them. 

Custodians, also referred to as custodial wallets, reportedly operate as services that store private keys and support transaction approval and signing. They play a vital role in terms of securely obtaining and securing crypto assets for organizations. 

“It enables crypto needed funds, exchanges, traditional institutions, enterprise, DAOs, and a whole host of different user profiles, enabling them to engage on a secure, well-managed risk-managed framework.” Harriet Browning, business lead for EMEA (Europe, the Middle East and Africa) at Consensys, additionally remarked regarding the development. 

The primary difference between MetaMask Institutional and the company’s primary browser and wallet plugin is reportedly the management measure applied. Browning explained that assets held in MetaMask’s primary product are non-custodial, while assets managed via MMI are the opposite. 

“For institutional security, we have replaced the hardware wallet with a range of custodial partners, to provide essential asset security.”